Download Going into business

Did you know?
Most new businesses don’t
make it past the first five years.
www.lawfirm.co.nz
The thought of being ‘in charge of your own sandpit’ can be a very attractive
proposition for someone wanting to start their own business. But, running a business
is more than just making your own decisions and being your own boss. There are
many factors to be aware of - not all of them immediately obvious:
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Why do you want to go into business for yourself?
Needing to be a master of all trades.
Do the essential ground-work.
Keeping track of important paperwork.
Is running a business really for you?
You’ve seen, or been involved with, a product or service that you believe has an
opportunity for success in the marketplace. You’ll need a good plan which outlines
some of the ‘big’ things - type of business and its structure, cost of formation and
administration as well as industry legislation to name a few. Your Solicitor can help
you determine your business structure in order to protect your personal situation from
potential business issues.
Behind the scenes activities
It’s not immediately obvious when starting up a company that suddenly you have to
manage everything from accounts, tax matters, legal matters, financing and cash
flow, production, insurance and business risk management, IT, shipping & logistics,
sales and marketing, suppliers and recruitment – whew! It becomes a balancing act
of working on the business vs working for the business.
Getting the right team on board
If you know what tasks you may need to manage your business and you find you
don’t have the necessary experience, seek the help and guidance required to fill the
gaps. Having a pool of talent - the right people to provide good advice is essential to
success. These experts should include people like your Solicitor, Accountant and
even a Business Mentor as they will have experience dealing with people in exactly
your position and so have been exposed to a variety of different situations.
Keeping track of important paperwork
You need to keep accurate records, budget for upcoming tax payments and account
for your business expenses and deductions. If your business is expanding you may
need to register for additional tax types such as GST, or it may be in your interests to
change the structure of your business. Your business records should include
banking information, proof of income and expenses, cash books and wage books.
Ph 09 415 9321
www.lawfirm.co.nz
Please take our quiz below and tick what applies to you:
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I/We have been thinking of starting our own business
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I/We are not sure of the best structure for our business
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I/We seem to be paying a lot of tax
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I/We need to check if our personal assets are protected
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I/We need help with business administration
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I/We think a business mentor would be helpful
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I/We have not had a business ‘health-check’ for two years
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I/We don’t have a formal business structure
If you can say yes to two or more of these questions, then give us a call to
discuss your situation further. If at any time, you need some good sound
advice, we can help or even recommend someone from the extensive
business network we deal with on a daily basis. Remember, we are a small
business too and so have had first-hand experience with all the problems and
intricacies that come with running a small business.
Ph 09 415 9321
www.lawfirm.co.nz